Malaysian Internship With No Remuneration

In 2012 my son did an internship in Malaysia and was paid a monthly allowance of RM500. It barely cover the cost of travelling and food in exchange for working experience. Prime Minister suggested companies should give interns an allowance to cover their travel and food expenses rather than expecting them to do unpaid labour. However, the Malaysian Employers Federation president Datuk Syed Hussain Syed Husman reportedly said that making it compulsory for companies to pay interns will discourage employers from offering internships.

What Is Internship - Internships are an essential part of training and education, and a well-constructed programme that offers students a chance to gain experience and exposure in a real-world professional setting — something that simply can’t be replicated in a classroom. 
For employers, interns can also provide fresh perspectives, enhance employer branding, and support the workforce in many ways.

Payment Is Not Mandatory - Interns are not covered by the Employment Act 1955 in Malaysia. Interns do not qualify for the stipulated minimum wage (now at RM1,500) in Malaysia. 

There are Apprenticeship Contracts in the Act. But to qualify as an apprentice, interns need to have a written contract for at least 2 years. As such, benefits like minimum wage, or even leave entitlements aren’t legally required for interns. While some organisations offer healthy allowances to interns to offset their costs, there are still some internship programmes that do not include any form of remuneration for interns.

PM Anwar claimed that payment would be left up to companies and the government will not fix a policy on it as internships are not forced. The government will not determine a clear policy because this is an internship programme that cannot be forced.